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Vitalik Buterin Backs Minimmit Over Casper FFG for Ethereum’s Consensus Layer

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Nexo Partners with Bakkt for US Crypto Exchange and Yield Programs

TLDR:

  • Minimmit achieves finality in one signing round, replacing Casper FFG’s two-round justification and finalization process. (truncate to fit — 105 chars)
  • The new gadget lowers fault tolerance from 33% to 17%, but raises the unilateral censorship threshold from 67% to 83%.
  • Buterin argues censorship poses a greater threat than finality reversion, as it lacks immediate, verifiable on-chain evidence.
  • Minimmit requires 83% of clients to share a bug before incorrect finalization occurs, giving developers a wider safety margin.

Minimmit has been put forward as a direct replacement for Casper FFG within Ethereum’s consensus layer. Ethereum co-founder Vitalik Buterin recently shared a detailed technical post comparing both finality gadgets.

Casper FFG has long served as a two-round finality mechanism on the network. The proposed system, by contrast, achieves finality in a single round of validator signatures.

The proposal is drawing attention as the Ethereum community continues to evaluate changes to its consensus architecture.

Why the New System Operates in a Single Round

Casper FFG asks each attester to sign a block on two separate occasions. The first signature “justifies” the block, and the second “finalizes” it.

Minimmit cuts this down to a single signing round. This makes the process more efficient for validators across the network.

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The change comes with a direct cost to fault tolerance, though. The new system’s threshold sits at 17%, compared to 33% under Casper FFG.

A smaller portion of malicious stake can therefore disrupt finality under the new model. Still, Buterin’s post makes the case that other properties of the system more than offset this drop.

In the post shared on X, Buterin described himself as a long-standing “security assumptions hawk” in Ethereum’s consensus research. He cited his past push for 49% fault tolerance under synchrony.

He also referenced his work on DAS for dishonest-majority-resistant data availability checks. Despite this record, he stated he is “even enthusiastic” about the proposed design.

The asynchronous network case also differs between the two systems. Under ideal 3SF, finality holds as long as an attacker controls less than 33% of stake.

The proposed gadget lowers that same protection to 17%. In both cases, any reversion of finality triggers massive slashing penalties against offending validators.

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Censorship Resistance and the Broader Security Picture

Buterin’s argument centers on identifying censorship as the more dangerous threat. Unlike finality reversion, censorship produces no immediate, publicly verifiable evidence against the attacker.

A reversion event, on the other hand, results in automatic, large-scale slashing. This asymmetry is a core reason behind his support for Minimmit’s design.

Both systems require an attacker to control over 50% of staked ETH to carry out censorship. The key distinction lies in what happens at higher thresholds.

In 3SF, an attacker above 67% can finalize the chain unilaterally, removing any coordination point for honest validators. The new system raises that threshold to 83%.

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Software bugs present another area where the proposed gadget holds an advantage. Under 3SF, a flaw shared by 67% of client software can accidentally finalize an incorrect chain state.

Minimmit raises that bar to 83%. This wider margin gives developers more time to identify and respond before errors become permanent.

Buterin also addressed the economic argument against finality reversion attacks. With 15 million ETH staked, reverting finality under 3SF would require slashing 5 million ETH, or roughly $10 billion.

He noted that the 17% baseline still represents an enormous deterrent on its own. From there, he argues the proposed system’s other properties make it the stronger overall consensus design for Ethereum.

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Crypto World

Bitcoin Dip May Not Be Over As Retail Ramps Up Buying: Santiment

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Cryptocurrencies, Bitcoin Price, Adoption

Retail investors have been scooping up Bitcoin after it slipped below $70,000, but whale activity suggests the price could still head lower if past patterns repeat, according to crypto sentiment platform Santiment.

“The moment Bitcoin hit $74k, these key stakeholders began taking profit,” Santiment said in a report on Friday.

Santiment explained that whales — those holding between 10 and 10,000 Bitcoin (BTC) — “accumulated heavily” between Feb. 23 and Mar. 3, when Bitcoin was trading between $62,900 and $69,600.

Cryptocurrencies, Bitcoin Price, Adoption
Whales (green line) have been selling, while retail investors (red line) have been buying more Bitcoin. Source: Santiment

Since Wednesday, when Bitcoin climbed past $70,000 and touched $74,000, the cohort has offloaded around 66% of their recent purchases, Santiment said. Meanwhile, retail investors — those holding below 0.01 Bitcoin — have been increasing their positions.

Correction may not be over yet, says Santiment

“When retail buys while whales sell, it typically signals that the correction is not yet over,” Santiment said. Bitcoin is trading at $67,984 at the time of publication, according to CoinMarketCap.

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Bitcoin’s price decline led the Crypto Fear & Greed Index to fall 6 points, pushing it further into “Extreme Fear” territory with a score of 12 on Saturday.

MN Trading Capital founder Michael van de Poppe shared a similar outlook, saying a further decline is possible. “If Bitcoin doesn’t find support in this $67-68K region, then we’re likely going to retest the lows for liquidity before bouncing back upwards,” van de Poppe said in an X post on Friday.

Spot Bitcoin ETFs post largest outflow day in three weeks

The decline coincided with US-based spot Bitcoin ETFs posting their largest outflow day since Feb. 12, with a total of $348.9 million in net outflows across the 11 ETF products, according to Farside data.

Related: Trump’s National Cyber Strategy pledges to support crypto and blockchain

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Bitcoin’s price fell as low as $60,000 on Feb. 6 during its downtrend from the October all-time high of $126,000 before showing a modest recovery. Economist Timothy Peterson suggests this level could be the floor for the time being.

“This valuation level has always marked a bottom for Bitcoin. About 99.5% chance it stays above $60k,” Peterson said in an X post, referring to the Bitcoin Price to Metcalfe Value chart.

Magazine: The debate over Bitcoin’s four-year cycle is over: Benjamin Cowen